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| Ireland Franchising Requirements |
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As a McDonald's franchisee, you would be expected to make the following commitments: |
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- McDonald's becomes your only active business interest.
- To spend approximately nine unpaid months learning all aspects of running a McDonald's restaurant.
- We also require the capital you invest in the business to be your own however, this does not necessarily have to be a large amount.
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Depending on the amount of capital you have available, there are two ways of entering into a franchise agreement: |
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- With a Conventional Franchise, we ask you to invest at least 25% of the total purchase price for an existing restaurant or 40% of the total purchase price for a new restaurant.
- The Business Facilities Lease (BFL) program is available if you're right for McDonald's but don't have enough capital to meet the requirements for a Conventional Franchise. Under the BFL, the cash flow of the restaurant is used to accumulate capital to purchase the franchise under the conventional method at a point within the first three years.
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| Initial Fees |
| Franchise Fee |
£30,000 |
| Security Deposit |
£10,000 |
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| On Going Fees |
| Monthly Rent |
From 5.65% to 18.40% of Sales |
| (Monthly) Service Fee |
Currently 5.00% of Sales |
| National Marketing Fee |
Currently 3.75% |
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Typical Costs are: |
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| Existing Restaurant |
New Restaurant |
| Purchase Price |
£400,000 |
Purchase Price |
£400,000 |
| Security Deposit |
£10,000 |
Security Deposit |
£10,000 |
| Franchise Fee |
£30,000 |
Franchise Fee |
£30,000 |
| Maximum Borrowings |
£330,000 |
Maximum Borrowings |
£264,000 |
Unencumbered
Cash Required |
£90,000 |
Unencumbered
Cash Required |
£176,000 |
| Total Cost |
£440,000 |
Total Cost |
£440,000 |
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